HONG KONG, Feb 21 (Reuters) - Hong Kong is under pressure to rein in spending when it unveils its annual budget on Wednesday, after racking up huge fiscal deficits during the COVID-19 pandemic and as it struggles to kick-start the economy and regain its financial lustre.
"However, as our economy stabilises, we have to make adjustments to our fiscal measures accordingly."
That compares with a shortfall of HK$56.3 billion or 1.9% of GDP, projected by the government in its budget last year.
Hong Kong hewed closely to China's zero-COVID policies -- imposing some of the world's toughest measures including lengthy quarantines for inbound travellers and social distancing rules that hurt the tourism, retail and catering sectors.
($1 = 7.8306 Hong Kong dollars)Reporting by Jessie Pang and Donny Kwok; Writing by James Pomfret; Editing by Jacqueline WongOur Standards: The Thomson Reuters Trust Principles.